| March 19
March 19 Marubeni Corp has agreed to
pay $88 million and plead guilty to charges by U.S. prosecutors
that the Japanese trading company paid high-ranking government
officials in Indonesia to secure a lucrative power project, the
Justice Department said on Wednesday.
Marubeni and its employees bribed officials in Indonesia,
including high-ranking members of Parliament and
state-controlled electricity company Perusahaan Listrik Negara,
to win a $118 million contract to provide power services for
citizens of Indonesia, the U.S. agency said in a statement.
"For several years, the Marubeni Corporation worked in
concert with a Connecticut company, among others, to bribe
Indonesian officials in order to secure a contract to provide
power-related services in Indonesia," said Acting U.S. Attorney
Michael J. Gustafson of the District of Connecticut.
The contract, known as the Tarahan project, was part of a
joint venture with its partner, French power equipment maker
Alstom SA. Two Alstom executives of the U.S. arm of Alstom in
Connecticut, Frederic Pierucci and David Rothschild, have so far
pleaded guilty to conspiracy to violate bribery laws in
connection with the project.
Marubeni pleaded guilty to eight criminal charges on
Wednesday in federal court in Connecticut, the Justice
Department said. The charges consisted of violations of the
Foreign Corrupt Practices Act, which prohibits businesses for
paying off government officials, it added.
Marubeni did not immediately respond to a request for
"The company refused to play by the rules, then refused to
cooperate with the government's investigation," said Acting
Assistant Attorney General Mythili Raman of the Justice
Department's Criminal Division. "Now Marubeni faces the
consequences for its crooked business practices in Indonesia."
Marubeni has agreed to implement an enhanced global
anti-corruption compliance program and cooperate with the
Justice Department's investigation, the agency said.
(Reporting by Casey Sullivan; Additional Reporting by David
Ingram; Editing by Richard Chang)